Russia reacts to Europe's accusations of Nord Stream pipe explosion

A surge in gas prices as top exporter Russia cuts supplies has squeezed German utility company Uniper, prompting it to seek an extra 4 billion euros in credit lines from Berlin, on top of a 15 billion euro bailout deal agreed last month.

Ukraine's President Volodymyr Zelenskiy accused Russia of economic terrorism as the cost of Europe's energy crisis spiralled with Germany on the hook for at least 19 billion euros to bail out its biggest importer of Russian gas.

European shares fell to their lowest level in nearly one month as worries about tightening gas supplies from Russia, hawkish signals from the European Central Bank and weak economic outlook weighed on investors' minds. The continent-wide STOXX 600 dropped 1.0% to touch its lowest level since July 28.

The European Union is drafting emergency plans to intervene in its energy market, as pressure grows from member states to put a lid on the surging price of electricity. As Russian gas deliveries to Europe have pushed up power costs almost 12 times than at the start of 2021.

Europe could face several winters of gas shortage as a result of the cuts to Russian supplies, Shell Chief Executive Ben van Beurden told a news conference in Norway.